Human Resource Management and Staffing at

Infosys

Overview
Quote by Narayana Murthy: "Our assets walk out
of the door each evening. We have to make sure
that they come back the next morning."

Emphasizes the importance of human resources

(HR) as critical assets for organizational success.

Human Resources as Assets

Infosys includes human resources on its balance

sheet to highlight their value.

Long-term success evaluated through both

financial and non-financial parameters, with
human resources being a key non-financial
factor.

Human resources embody expertise,

innovation, leadership, and managerial skills
vital for competitiveness.

Challenges for Infosys:-

Talent Retention: The competitive landscape

both in India and internationally makes talent
retention a priority.

Attraction and Development: Strategies are

needed to attract, retain, and develop employees
in a dynamic environment.
Leadership and Culture

Narayana Murthy’s Leadership:

Known for a humble, straightforward style.

Advocates for wealth sharing and leading by

example.

Focus on consistency in actions and empowering

employees.

Organizational Culture:
Strong culture of closeness and empowerment
fosters loyalty and commitment.

Staffing: Definition and Importance

Definition: Staffing is the managerial function

of filling and maintaining positions within an
organization, encompassing recruitment,
selection, training, development, and
performance appraisal.

Importance:

Essential for discovering and obtaining

competent personnel.
Critical for organizational performance and
growth.

Helps in succession planning and optimal

utilization of human resources.

Affects job satisfaction and employee morale.

Benefits of Effective Staffing

1. Competency Acquisition: Ensures competent

personnel for various roles.

2. Performance Enhancement: Aligns the right

person with the right job for higher productivity.
3. Continuous Growth: Supports organizational
growth through succession planning.

4. Resource Optimization: Avoids overmanning

and ensures efficient utilization of labor.

5. Employee Satisfaction: Promotes morale

through fair assessment and rewards.

The Staffing Function

Continuous Process: Staffing is ongoing in

existing enterprises due to job creation and
turnover.
Managerial Responsibility: All managers play a
role in staffing, ensuring positions are filled with
qualified individuals.

Human Resource Management (HRM)

Evolved from traditional labor welfare to a

specialized field focusing on people
management.

Includes functions like recruitment, job analysis,

compensation planning, training, labor relations,
and compliance with legal standards.

Staffing Process
1. Estimating Manpower Requirements:
Analyzing organizational structure to determine
the type and number of personnel needed.

2. Recruitment: Attracting candidates from

internal or external sources.

3. Selection: Choosing the most suitable

candidates based on qualifications and skills.

4. Training and Development: Providing

orientation and ongoing training to enhance skills
and prepare for advancement.
5. Performance Management: Regular appraisal
of employee performance to ensure alignment
with organizational goals.

Conclusion

The effective management of human resources

through a structured staffing process is crucial
for the success of organizations like Infosys. As
the competitive landscape evolves, continuous
adaptation and enhancement of staffing
practices are essential for maintaining a strong
workforce and achieving long-term business
objectives.

Recruitment and Selection Process

Recruitment Overview
Recruitment is the process of attracting suitable
candidates for available positions within an
organization. It involves several key activities:

1. Identifying Sources of Labor Supply: This

includes determining where potential candidates
can be found, both internally and externally.

2. Assessing Validity: Evaluating the

effectiveness of various recruitment sources.

3. Choosing Suitable Sources: Selecting the

best sources for attracting candidates.
4. Inviting Applications: Encouraging
prospective candidates to apply for the
vacancies.

Sources of Recruitment

Recruitment can be categorized into two main

sources: Internal and External.

Internal Sources

1. Transfers: Moving employees between jobs or

departments without significant changes in
status. This can help manage workforce
distribution and address grievances.
2. Promotions: Elevating employees to higher
positions, which boosts motivation and loyalty.
Promotions often encourage performance
improvements among staff.

Merits of Internal Recruitment:

Motivates existing employees to improve their

performance.

Simplifies the selection process, as existing

employees are already known to the organization.

Reduces training time for promoted individuals

since they are familiar with company operations.

Generally more cost-effective than external

recruitment.
Limitations of Internal Recruitment:

Limits the influx of fresh talent, which can lead to

stagnation.

May foster complacency if employees expect

automatic promotions.

New organizations cannot rely solely on internal

sources for staffing.

Can dampen competition among employees.

External Sources
External recruitment is essential for filling
positions when internal sources are insufficient.
Common external sources include:

1. Direct Recruitment: Posting job openings on

company premises, attracting candidates on the
spot, often used for casual labor.

2. Casual Callers: Keeping a database of

unsolicited applicants for potential future hires.

3. Advertisements: Using print or online media

to attract a wide range of candidates.
4. Employment Exchanges: Government-run
agencies that connect job seekers with
employers, particularly for skilled and unskilled
jobs.

5. Placement Agencies: Specialized firms that

help organizations find qualified candidates,
particularly for higher-level positions.

6. Campus Recruitment: Recruiting recent

graduates from educational institutions.

7. Employee Recommendations: Candidates

referred by current employees, often yielding
high-quality hires.
8. Television and Web Publishing: Advertising
positions through mass media and job-specific
websites.

Merits of External Recruitment:

Access to a broader pool of qualified candidates.

Infusion of new ideas and skills into the

organization.

Increased competition among employees,

fostering a higher performance culture.

Limitations of External Recruitment:

Potential dissatisfaction among current
employees feeling overlooked for promotions.

Lengthy and costly recruitment processes,

including advertising and screening applicants.

Selection Process

Selection involves choosing the most suitable

candidate from a pool of applicants through
various methods, including tests and interviews.
The steps in the selection process typically
include:

1. Preliminary Screening: Initial review of

applications to shortlist candidates.
2. Employment Tests: Assessing candidates'
skills and abilities through standardized tests.

3. Interviews: Conducting structured interviews

to evaluate candidates further.

4. Reference Checks: Verifying candidates’

backgrounds and qualifications.

5. Job Offer: Extending an employment offer to

the selected candidate.
The selection process is crucial for ensuring that
the best candidates are chosen, impacting
organizational performance and employee
satisfaction.

Selection Process in Staffing

Overview of Selection

The selection process is critical for identifying the

best candidates for job openings. It involves a
series of steps designed to filter applicants based
on their qualifications, skills, and fit for the
organization.

Key Steps in the Selection Process

1. Preliminary Screening:
Application Review: Initial assessment of
resumes and applications to eliminate
candidates who do not meet basic requirements.

Preliminary Interviews: Conducted to further

evaluate candidates and reject those who are
clearly misfits based on qualifications or fit.

2. Selection Tests:

These tests assess various attributes of

candidates. Key types include:
Intelligence Tests: Measure cognitive abilities and
problem-solving skills, indicating a candidate's
learning potential.

Aptitude Tests: Evaluate specific skills relevant to

the job, helping predict a candidate's ability to
perform tasks related to the position.

Personality Tests: Assess traits that may affect

job performance, such as teamwork, leadership,
and adaptability.

3. Interviews:

Structured or unstructured interviews provide

insights into candidates' qualifications and
personalities. Behavioral interviews, which focus
on past experiences, are particularly effective in
predicting future performance.

4. Reference Checks:

Contacting former employers or references to

verify candidates’ work history and qualifications.
This step helps confirm the information provided
by candidates and assess their past
performance.

5. Job Offer:

After selecting the right candidate, an offer is

extended, detailing salary, benefits, and terms of
employment.
Importance of Employee Referrals

Employee referrals have become increasingly

valuable in the hiring process. Companies like
Lenovo India and Infosys have successfully
leveraged their employees' networks to enhance
diversity and improve hiring quality. Key points
include:

Referral Programs: Organizations incentivize

employees to refer candidates, often focusing on
increasing diversity within their teams.

Technology Utilization: Companies are employing

technology platforms to streamline the referral
process, allowing employees to submit
candidates and track referral status easily.
Quality of Hires: Referrals often lead to better
cultural fits and higher-quality hires, as current
employees understand the company’s needs and
culture.

Conclusion

The selection process is essential for ensuring

that the right candidates are chosen for job roles.
By combining various assessment methods and
leveraging employee referrals, organizations can
build a strong and effective workforce.

Importance of Selection Decisions

Selection decisions are critical for organizations

as they directly impact performance, culture, and
overall success. The outcomes of these decisions
can lead to either positive or negative
consequences for the organization.

Outcomes of Selection Decisions

1. Correct Decisions:

Successful Hire: When an applicant predicted to

be successful indeed performs well in their role.

Successful Rejection: When a candidate

predicted to be unsuccessful is not hired, thus
avoiding poor performance.
2. Errors in Decision Making:

Reject Errors: Occur when a potentially

successful candidate is rejected. This can lead to
a loss of talent and the opportunity for enhanced
performance.

Accept Errors: Happen when an unsuccessful

candidate is hired, resulting in poor job
performance, low morale, and increased
turnover.

Consequences of Selection Errors

Financial Impact: The cost of hiring and training a
new employee, particularly when a replacement
is needed due to a poor hire, can be significant.
For example, it may take up to six months for a
new employee to reach the productivity levels of
the previous employee.

Time Lost: The time spent on recruiting, training,

and orienting new hires is wasted if they are
ultimately unsuccessful.

Team Dynamics: Poor hiring decisions can

disrupt team cohesion, lead to low morale, and
decrease overall productivity.

Conclusion
Effective selection processes are essential to
minimize errors and ensure that the best
candidates are chosen. Organizations must
adopt rigorous selection methodologies—such
as structured interviews, testing, and thorough
reference checks—to enhance the likelihood of
making correct hiring decisions. This proactive
approach not only helps in retaining talent but
also supports the organization’s long-term
success and stability.

Key Terms in Training and Development

1. Attestation Form: A document that contains

vital details about a candidate, authenticated by
them, serving as a valid record for future
reference.
2. Contract of Employment: A formal agreement
that outlines job title, duties, responsibilities,
start date, pay rates, working hours, leave rules,
and procedures for grievance and termination.

3. Training and Development: Initiatives aimed at

improving employee performance through
learning, which may involve changing attitudes or
enhancing skills and knowledge.

4. On-the-Job Training: Training that occurs in the

workplace while the employee is performing their
job, emphasizing practical experience.
5. Off-the-Job Training: Training conducted away
from the workplace, often in a classroom or
through simulations, focusing on theoretical
knowledge and skills.

6. Apprenticeship Programs: Structured training

where trainees learn a skilled trade under the
guidance of experienced workers.

7. Coaching: A method where a superior mentors

a trainee, setting goals and reviewing progress to
improve job performance.

8. Internship Training: A cooperative training

program between educational institutions and
businesses, allowing students to gain practical
experience while completing their studies.

9. Job Rotation: A training method where

employees are moved between different
departments or roles to gain a comprehensive
understanding of the organization.

10. Classroom Lectures: A traditional training

method involving presentations to convey
specific information.

11. Case Study: An educational approach where

trainees analyze real-life organizational problems
to develop solutions.
12. Computer Modelling: A training method that
simulates job environments using computer
programs to replicate real-world scenarios.

13. Vestibule Training: Training conducted in a

simulated environment where employees use the
same tools and equipment they will encounter in
their jobs.

14. Programmed Instruction: A structured training

approach that breaks information into units,
allowing learners to progress at their own pace.
Importance of Training and Development

Training and development are crucial for both

organizations and individuals, offering numerous
benefits:

For Organizations:

Enhanced Productivity: Improves both the

quantity and quality of work, leading to increased
profits.

Skill Development: Prepares employees for future

roles and emergencies, ensuring a capable
workforce.
Improved Morale: Increases employee
satisfaction, reducing absenteeism and turnover.

For Employees:

Career Growth: Equips employees with skills that

lead to better job performance and higher
earnings.

Job Safety: Reduces the likelihood of accidents

by improving competency in using machinery.

Personal Satisfaction: Fosters a sense of

achievement and engagement in their roles.
Conclusion

Investing in training and development is essential

for cultivating a skilled, motivated workforce
capable of adapting to changing market
demands. By prioritizing these initiatives,
organizations can ensure long-term success and
employee satisfaction.

Summary of Staffing

Meaning of Staffing: Staffing is a managerial

function focused on filling and maintaining
positions within an organization's structure. This
involves identifying workforce needs, followed by
recruitment, selection, placement, promotion,
appraisal, and development of personnel.
Need and Importance of Staffing: Staffing is
essential for any organization as it ensures that
the right people are assigned to the right jobs. Its
importance has grown due to technological
advancements, organizational expansion, and
the complexities of human behavior. The success
of an organization is heavily reliant on the quality
of its human resources.

Staffing in Human Resource Management: All

managers engage in staffing, but as organizations
grow, a specialized human resource department
typically emerges. This department focuses on
managing various aspects of employee relations,
welfare, and working conditions.

Evolution of HRM: Human resource management

has evolved from traditional labor welfare and
personnel management concepts. This shift has
been influenced by significant developments,
such as the industrial revolution and the
emergence of trade unions, which highlighted the
need for effective communication between
management and workers.

Overall, staffing is a crucial component of human

resource management, centered on identifying,
evaluating, and fostering relationships with
employees to achieve organizational goals.